AI SummaryIncentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty helps micro, small, and medium enterprises in West Bengal by providing a reimbursement on electricity duty for manufacturing activities. if you are a powerloom unit owner, you can reduce your operational costs through this scheme.
Scheme has been closed or it was a one time scheme which has been closed by the government.
Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty - Introduction
Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty helps you lower manufacturing expenses by providing a reimbursement on electricity duty. This scheme supports powerloom businesses in West Bengal by offsetting utility costs for five years from the start of commercial production.
Launched on January 1, 2022, by the Department of Micro, Small & Medium Enterprises and Textiles, Government of West Bengal, this initiative remains active until December 31, 2024. It functions as a key component of the broader Incentive Scheme for MSMEs in Powerloom Sector.
The primary goal is to encourage the installation of new-age shuttleless powerlooms, improve fabric quality, and create a sustainable environment for texile businesses. by participating, you help boost local production, generate employment, and strengthen the textile industry across West Bengal.
Key Information
| Scheme Name | Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty |
|---|---|
| Level | State |
| Scheme For | Infra |
| Beneficiary State | West Bengal |
| Category | Business & Entrepreneurship |
| Target Beneficiaries | Business Entity, Government Organisation, Joint Liability Groups, Industries, Self Help Groups, Trust, NGO, Registered Societies |
| Benefit Type | Cash |
| Nodal Department | Micro, Small & Medium Enterprises and Textiles Department |
| Open Date | 2022-01-01 |
Benefits
Your enterprise can receive significant financial relief based on your location and business size for a period of five years.
| Category | Zone Classification | Benefit |
|---|---|---|
| Micro & Small | Zone A & B | 50% reimbursement up to ₹10,00,000 per year |
| Micro & Small | Zone C, D & E | 75% reimbursement up to ₹10,00,000 per year |
| Medium | Zone B & C | 100% reimbursement up to ₹25,00,000 per year |
| Medium | Zone D & E | 100% reimbursement for 5 years and 75% for years 6 to 10 up to ₹50,00,000 per year |
Eligibility
To qualify for this support, you should meet the following criteria:
- Your business must operate within the powerloom sector.
- Commercial production must have commenced between 01.01.2022 and 31.12.2024.
- You should have signed a four-party agreement involving the Directorate of Textiles, your financial institution, and Tantuja.
- Your unit can be in the private, cooperative, or joint sector, including State Government undertakings and industrial self-help groups.
- You should possess an approved project feasibility report.
- Your project must be sanctioned by a Central Financial Institution, Commercial Bank, or State Financial Institution.
Exclusions
You are not eligible if:
- You have already received or been issued an eligibility certificate for incentives under other state incentive schemes for the same items.
- You have applied for other state schemes and were issued an eligibility certificate, even if the funds were not disbursed.
- Your unit commenced production before 31.12.2021 and you are already pursuing incentives under previous state schemes.
Application Process
You should apply offline to benefit from this scheme. Please follow these instructions:
- Complete the application in the prescribed FORM-C.
- Ensure you submit the form to the Directorate of Electricity Duty within 12 months from the start of your commercial production.
- Include all relevant supporting documentation.
Address: Director of Electricity Duty, Directorate of Commercial Taxes, Annex Building-III, 6th & 7th Floor, Commercial Tax Building Complex, 14, Beliaghata Road, Kolkata-700015.
Contact: 033-22510106 | Help Desk: 033 2251 0190 | Email: dedwbhelpdesk@gmail.com
Documents
Keep the following documents ready for your application:
- Copy of the Eligibility cum Registration certificate.
- Copy of Udyam Registration.
- Verification documents regarding electricity supply to your unit.
- Copies of all relevant electricity bills.
- Copy of SC/ST certificate (if applicable).
- Any additional documentation requested by the department.
Definitions
The scheme classifies regions into zones to determine incentive levels:
- Zone A: Kolkata Municipal Corporation area and municipal areas of North 24-Parganas, South 24-Parganas, and Howrah.
- Zone B: Specific regions in Hooghly, North 24-Parganas, South 24-Parganas, Howrah, Siliguri Municipal Corporation, and municipal areas of Paschim Medinipur, Purba Medinipur, Purba Bardhaman, Paschim Bardhaman, and Nadia.
- Zone C: Includes districts such as Malda, Jalpaiguri, Murshidabad, Darjeeling (excluding Siliguri), Kalimpong, and Alipurduar.
- Zone D: Comprises Birbhum, Purulia, Bankura, Uttar Dinajpur, Dakshin Dinajpur, Jhargram, and specific areas of South/North 24-Parganas.
References
View Official Guidelines (Kolkata Gazette)
FAQ's
What areas are classified under Zone A?
Zone A includes the Kolkata Municipal Corporation area and all municipal areas within North 24-Parganas, South 24-Parganas, and Howrah.
Which districts fall under Zone B?
Zone B includes parts of Hooghly, North 24-Parganas, South 24-Parganas, Howrah (non-municipal), Siliguri Municipal Corporation, and designated municipal areas in Paschim and Purba Medinipur, Bardhaman, and Nadia.
What is the eligibility for powerloom units?
You qualify if your unit is in the powerloom sector, started production on or after January 1, 2022, and has executed the mandatory four-party agreement.
How does verification work upon application?
Once you submit your application, the Directorate of Textiles will conduct a physical inspection of your enterprise-usually within 15 days-to verify your fixed capital investment in machinery.
Can I claim subsidy if I accessed other state benefits?
Yes, you may still access benefits under this scheme for specified items even if you have received other state-level incentives, provided you meet all scheme terms.
What is an approved project?
An approved project is one that has received technical clearance from the Directorate of Textiles and financial approval from a recognized bank or financial institution.
What happens if my application is rejected?
If you do not meet the eligibility requirements, the Directorate of Textiles will send a formal rejection letter to your enterprise.